Key Points – Q4 performance improved: Neogen reported $225.3 million in revenue, with core growth accelerating to 4.3%.
Food safety led results with 5.8% core growth, while adjusted EBITDA rose 12% to $45.4 million. – Fiscal 2027 will emphasize investment and growth: The company forecast revenue of $880 million to $885 million and adjusted EBITDA of $180 million to $182 million, while planning to increase R&D spending by about 50% and invest $25 million in transformation initiatives. – Debt reduction and strategic changes remain priorities: Neogen repaid $20 million of its term loan and expects to use approximately $140 million from the planned Genomics business sale to repay debt and fund investments
Its commercial overhaul and Petrifilm manufacturing transition are intended to support future growth and margin expansion. Neogen (NASDAQ:NEOG) reported fiscal fourth-quarter revenue of $225.3 million, with core revenue growth of 4.3%, its highest growth rate of fiscal 2026. The company said momentum improved across both its food safety and animal safety businesses as it entered fiscal 2027, while management outlined increased spending on research and development, commercial capabilities and technology.
Chief Executive Officer Mike Nassif said the company exceeded its adjusted EBITDA guidance for fiscal 2026 and ended the year with improved growth trends. “Fiscal year 2026 was all about stabilization and foundation building,” Nassif said. “In fiscal year 2027, the focus will be on accelerating profitable growth.” Food Safety Growth Accelerates Food safety revenue totaled $166.8 million in the fourth quarter and grew 5.8% on a core basis, which Nassif said was the segment’s highest growth rate since 2023, shortly after Neogen’s acquisition of 3M’s food safety business. Indicator Testing and Culture Media products grew 9%, while bacteria and general sanitation products grew 10%, according to Chief Financial Officer Bryan Riggsbee. Food safety grew in every global…